> For the complete documentation index, see [llms.txt](https://smortwhitepapers.gitbook.io/info/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://smortwhitepapers.gitbook.io/info/sensei-overview/reward-contracts-overview.md).

# Reward Contracts Overview

### Basic Overview&#x20;

Reward contracts are in principle fairly simple. When the contract performs a swap back it will use a % of the swap to buy the reward token in question. It will then distribute that reward to all holders. This is standard and how most reward contracts work on the binance smart chain. This process consumes gas and as such means that sell gas is often much higher than coins without rewards.&#x20;

### How does Sensei differ?&#x20;

The difference with Sensei when it comes to claiming rewards is that it's a completely manual process. There are no additional gas fees on selling as described above. The benefit of this approach for an investor is you can let your rewards build up and then claim them when you want.&#x20;